RE:RE:RE:RELAX EVERYONE U.S. commercial crude oil inventories (excluding those in the Strategic Petroleum Reserve) increased by 4.5 million barrels from the previous week. At 448.9 million barrels, U.S. crude oil inventories are at he highest level for this time of year in at least the last 80 years. We’ve heard North American capacity is close to 450m bls. (EIA 11Mar15 for week ending 6Mar15)
• “The thing to really watch is the filling up of the oil tanks because we’re producing worldwide about 2M barrels a day above consumption right now. But where is that going? It’s going into storage, land based oil tanks and floating storage in tankers, sitting in some dock somewhere. Now those are going to fill up about May or June (between winter’s heating-season ending & before the heaviest driving season starts-summer) and when they do fill up, then where’s that oil going to go? It’s going to be depressing the market. That’s when I think you could get the big selloff.” (A. Gary Shilling on BNN 12Mar15)